Top Management Team Coordination Needs and the CEO Pay Gap: A Competitive Test of Economic and Behavioral Views

By A. Henderson, J. Fredrickson. 2001

371 citations recorded by the source corpus.

Subfields: Communication, Information Systems and Management, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/9a9414c443b0dd1614cd137f0f8edcd789ab726d

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Communication

In Information Systems and Management

In Strategy and Management

Citations in the corpus

Has Agency Theory Run its Course?: Making the Theory More Flexible to Inform the Management of Reward Systems (2012, background): “There is substantial evidence in the United States and the United Kingdom supporting this view (e.g. Eriksson, 1999;; Ezzamel & Watson, 2002; Henderson & Fredrickson, 2001; O’Reilly, Main, & Crystal, 1988).”
Tournament Incentives and Corporate Fraud (2015, background): “Instead, pay gaps 3 provide a solution to the agency problems, such as managerial shirking (Henderson and Fredrickson, 2001), that can 3 We define the CEO pay gap as the natural logarithm of the difference between CEO total compensation and median VP total compensation.”
Executive Compensation: A Multidisciplinary Review of Recent Developments (2007, neutral): “However, the evidence from these studies is mixed (Henderson & Fredrickson, 2001).”
The Impact of Corporate Governance on Executive Compensation (2008, neutral): “…researchers make the implicit assumption that CEO compensation is a proxy for incentive alignment throughout the firm, but there is ample evidence and theory to suggest that senior executive pay schemes are rarely identical (i.e., Finkelstein and Hambrick (1996) Henderson and Fredrickson (2001)).”
Minding the Gap (2016, background): “This is true not only of a final tournament for the CEO position (e.g., Henderson & Fredrickson, 2001), but also those employees striving to reach the upper echelon level (Cappelli & Cascio, 1991; DeVaro, 2006; Lambert, Larcker, & Weigelt, 1993).”
Substitutes or Complements? A Configurational Examination of Corporate Governance Mechanisms (2014, methodology): “We followed previous research (e.g., Henderson & Fredrickson, 2001) and defined the TMT as the top five highest-paid executives as listed in the companies’ proxy statements (as captured by the Execucomp database).”
Stewards, Agents, and the Founder Discount: Executive Compensation in New Ventures (2006, background): “The main dependent variable was each executive's cash compensation, which comprises both salary and bonus (e.g., Henderson & Fredrickson, 2001).”
Do Humble CEOs Matter? An Examination of CEO Humility and Firm Outcomes (2018, background): “Consistent with research on vertical pay disparity (Carpenter & Sanders, 2002; Henderson & Fredrickson, 2001; Siegel & Hambrick), we draw on tournament (Lazear & Rosen, 1981) and relative deprivation theories (Martin, 1981) to support our claim.”
The Effects of Disseminating Relative Performance Feedback in Tournament and Individual Performance Compensation Plans (2008, background): “On the other hand, tournaments may provide additional benefits such as sorting on attributes the firm finds desirable (Sprinkle 2003), less need for costly monitoring (Henderson and Fredrickson. 2001), and increased flexibility, especially in the presence of environmental uncertainty (Nalebuff and S”
Agglomeration Economies and Firm Performance: The Case of Industry Clusters (2010, background): “Both ROA and ROS are used frequently in management research (Bloom & Milkovich, 1998; Henderson & Fredrickson, 2001; Hillman, 2005).”
The Effects of Top Management Team Pay and Firm Internationalization on MNC Performance (2004, background): “…we focus on the gap (or difference) between CEO total compensation and the compensation paid to members of the CEO’s own TMT. Consistent with that view,Henderson and Fredrickson (2001)showed that gaps between CEO and TMT member pay were lowest when top executive coordination needs were very high.”
When much more of a difference makes a difference: Social comparison and tournaments in the CEO's top team (2015, methodology): “We follow previous research that defines pay disparity as the difference in pay between the CEO and the top four compensated executives in the TMT (Carpenter, 2002; Carpenter and Sanders, 2002; Fredrickson, Davis-Blake, and Sanders, 2010; Henderson and Fredrickson, 2001).”